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2020 (10) TMI 529 - AT - Income TaxDepreciation on plant and machinery claimed by the appellant given and leased various parties - HELD THAT:- As in case SBI. HOME FINANCE LTD. [2005 (8) TMI 34 - CALCUTTA HIGH COURT] held that the ingredients of ownership and user of the plant in business as required Under the provisions of Section 32 of the act have been fulfilled by the assessee and therefore it is entitled to depreciation available to it u/s 32 of the act. In M/S COSMO FILMS LIMITED [2011 (7) TMI 32 - DELHI HIGH COURT] held that once it is established that the ownership of the said equipment is that of the assessee, then it is clear that the respondent/assessee would be entitled to claim depreciation. In the present case lease rental is received regularly and has been shown in the Profit & Loss A/c. The other parties who are paying lease rentals to the assessee have shown lease rental paid to the assessee. The department has not brought a single case on record that the parties who had paid lease rental has not shown/claimed the deduction on account of lease rental but has claimed deduction of interest paid to assessee. Moreover, the assessee has produced the certificates from the lessee that they have not claimed any depreciation on these assets, which are owned by the assessee. No material contrary to the above facts was shown by the revenue. We direct the learned assessing officer to delete the disallowance of depreciation on plant and machinery as claimed by the appellant on plant and machinery given and leased various parties. - Decided in favour of assessee.
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